etisalat Q3 profit hits Dh11.2 billion as Vodafone stake sale boosts earnings

Dubai: etisalat reported a consolidated net profit of Dh11.2 billion for the third quarter of 2026, supported by the sale of its stake in Vodafone Group, as revenue growth and a larger subscriber base strengthened its operating performance.

The UAE-based telecommunications group said quarterly revenue rose 6.9 per cent year-on-year to Dh19.5 billion, while consolidated revenue for the first nine months increased 10 per cent to Dh57.6 billion.

Net profit for the January-September period reached Dh17.2 billion, an increase of 45.9 per cent from a year earlier, according to the company’s financial results.

A major contributor to the third-quarter performance was the completion of etisalat’s sale of its entire holding in Vodafone Group. The transaction generated total consideration of Dh21.9 billion, including the final dividend, and a gain of approximately Dh8 billion.

The disposal provided additional financial flexibility and contributed to the sharp increase in reported earnings.

Beyond the Vodafone transaction, etisalat recorded growth in its underlying operations. Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 5.1 per cent year-on-year to Dh9 billion in the third quarter, representing a margin of 46.1 per cent.

For the first nine months, EBITDA rose 10.3 per cent to Dh26.7 billion, with a margin of 46.4 per cent. The group’s global subscriber base expanded 29.4 per cent year-on-year to 254.8 million during the quarter. In the UAE, subscribers increased 5.2 per cent to 16.5 million.

Masood M. Sharif Mahmood, Group CEO of etisalat, said the results reflected the performance of its connectivity business and operational execution.

“Our performance in Q3 2026 underscores the resilience of our business model and the discipline with which we are turning growth opportunities into tangible results,” he said.

The financial results come as etisalat marks its 50th anniversary and outlines plans to expand its role in artificial intelligence, cloud computing, cybersecurity and digital infrastructure.

The group plans to increase its international connectivity capacity to more than 500 terabits per second by 2030, representing an expansion of more than 25 times its current capacity.

The investment is intended to support faster data transmission, lower latency and more reliable international connectivity as demand grows for AI-powered services.

etisalat said its strategy would bring together its existing capabilities in telecommunications, digital services, cloud infrastructure, cybersecurity and fintech, with AI playing a greater role across its operations.

Mahmood said the growing use of AI by businesses and governments was increasing the importance of secure networks and computing infrastructure.

“Today, as AI is integrated more deeply into core enterprise and government operations, the foundational connectivity, compute, and secure infrastructure powering it become more critical,” he said.

The group is also moving forward under the etisalat name as it places greater emphasis on connectivity and AI-enabled services.

The strategy reflects its efforts to expand beyond traditional telecommunications while continuing to invest in the network infrastructure supporting its existing business.